The Ministry of Planning, Economic Development, and International Cooperation has outlined key elements of the first chapter of Egypt’s “National Development Narrative: Policies Supporting Growth and Employment,” which emphasizes macroeconomic stability as a foundational requirement for successful development efforts. According to the ministry, economic stability forms the bedrock upon which state policies are built to achieve inclusive growth, strengthen investor confidence—both domestic and foreign—and reduce economic risks while supporting job creation and enhancing the national economy’s competitiveness.
Dr. Rania El-Mashat, Minister of Planning, Economic Development, and International Cooperation, stressed that maintaining macroeconomic balance is essential for creating a conducive environment for growth and investment. This involves adopting disciplined fiscal and monetary policies that bolster confidence and stability, managing public finances through expenditure rationalization, broadening the tax base, and improving the efficiency of resource allocation. These measures ensure that fiscal policy remains growth-oriented and is based on effective collaboration with the private sector.
She also highlighted that governance of public investments plays a central role in directing capital spending toward developmental priorities, creating space for private-sector participation, and maximizing the economic and social impact of public expenditure.
Dr. El-Mashat explained that, as part of the government’s commitment to strengthening macroeconomic stability, two pivotal laws were enacted in 2022: the State General Planning Law No. 18 and the Unified Public Finance Law No. 6. These legislative reforms aim to enhance strategic planning, improve public spending effectiveness, and better integrate development policies with budgeting in a more cohesive and transparent manner.
The government is also working to strengthen coordination between the Sustainable Development Plan and the Medium-Term Budget Framework. This integration ensures that public resources are directed toward priority development goals and that public spending achieves maximum efficiency. A new methodology for drafting the development plan has already been adopted, extending the planning horizon to the 2028/2029 fiscal year.
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Rania Al-Mashat: Strengthening Macroeconomic Stability is a Fundamental Condition for Growth and Investment
The Ministry of Planning, Economic Development, and International Cooperation reviewed the main features of the first chapter of the “National Narrative for Economic Development: Policies Supporting Growth and Employment,” which focuses on macroeconomic stability as a fundamental condition for the success of development efforts in Egypt, as economic stability represents the foundation from which state policies launch to achieve comprehensive growth, enhance the confidence of local and foreign investors, reduce economic risks, support employment opportunities, and improve the national economy’s competitiveness.
Dr. Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, affirmed that macroeconomic stability is a fundamental condition for creating a favorable environment for growth and investment, through adopting disciplined fiscal and monetary policies that enhance confidence and stability, and regulating public finances through rationalizing spending, expanding the tax base, and improving the efficiency of resource allocation, ensuring that fiscal policy stimulates economic growth and is based on effective partnership with the private sector.
She also pointed out that governing public investments is a key tool to ensure directing capital expenditure toward development priorities, creating space for private sector investments, and maximizing the economic and social impact of public spending.
Dr. Rania Al-Mashat explained that, within the state’s commitment to enhancing macroeconomic stability, the State General Planning Law No. 18 of 2022 and the Unified Public Finance Law No. 6 of 2022 were enacted as a pivotal step to enhance strategic planning, the effectiveness of public spending, and linking development policies to the budget in a more integrated and transparent manner.
She indicated that the government is working to enhance integration between the sustainable development plan and the medium-term budget framework to ensure directing public resources toward development priorities and achieving maximum efficiency in public spending, and a new methodology for formulating the plan has already been adopted within a medium-term framework extending to the year 2028/2029.